Watch This Bullish Wedge on $SPY

I apologize for not first anticipating and then calling for a selloff with the depth and speed we’ve seen. It’s no doubt caught many off guard. That said, it’s a terrible place to call for further lows, in my opinion. Keep an eye on the bullish wedge forming on $SPY. Other formations like this have failed on the way down, but the last one will not and it’s safer, in my opinion, to assume we’re much, much closer to a bottom now than a top here.

We’re just beneath the 250-day EMA, terribly, terribly oversold. All the conditions are present here that were present at the February 28th low in the COVID crash, and we should get at least a strong counter-trend bounce, if not a permanent low altogether. At least that is how I am seeing things here.

At a minimum, I expect this gap to get filled sooner rather than later.

SPY


[UPDATE]: We got the bounce, and the gap fill:

SPY


Note: When articles are first posted, most of them are made available only to my Patreon supporters (I do try to publish some public posts on occasion). Over time (usually after a period of a few weeks or so), I make all of the work public. To gain access to my work when it is produced, please consider becoming a patron. More information may be found on my About page and on my Patreon page. In a nutshell, patrons of any denomination (you get to pick the amount) will be able to read my weekend analyses, Tier 1 members ($20/mo.) get access to all of the articles I write, and Tier 2 members ($35/mo.) get access to those, plus counts on other instruments and my Discord chatroom.


2 thoughts on “Watch This Bullish Wedge on $SPY”

Leave a Reply

Your email address will not be published. Required fields are marked *